What changed in this filing

/stocks — the workspaceLOADING

Item 1. Financial Statements

2022-11-02 compared with 2022-08-02 · 297 added, 232 removed, 1533 unchanged (26% of the section changed)

3 unchanged sentences

(in thousands, except share amounts)

June 30, 2022

September 30,

Investments at fair value:

9 unchanged sentences

Prepaid expenses and other assets

Debt ($ 1,006,600 and $ 818,500 face amounts, respectively, reported net of unamortized debt issuance costs /market discount

of $ 8,519 and $ 6,462 , respectively.

Debt ($ 1,156,200 and $ 818,500 face amounts, respectively, reported net of unamortized debt issuance costs/market discount of $ 7,909 and $ 6,462 , respectively.

See notes 6 and 7)

18 unchanged sentences

Three months ended

Six months ended

Nine months ended

September 30, 2022

September 30, 2021

September 30, 2022

September 30, 2021

INVESTMENT INCOME:

20 unchanged sentences

Companies more than 25% owned

Net change in unrealized gain (loss) on investments and cash equivalents

Net change in unrealized gain (loss) on investments and cash equivalent s

Net realized and unrealized gain (loss) on investments and cash equivalents

6 unchanged sentences

Three months ended

Six months ended

June 30, 2022

June 30, 2021

June 30, 2022

June 30, 2021

Nine months ended

September 30, 2022

September 30, 2021

September 30, 2022

September 30, 2021

Increase (decrease) in net assets resulting from operations:

5 unchanged sentences

From net investment income

From return of capital

Net distributions to stockholders

Capital transactions

1 unchanged sentence

Issuance of common stock

Total increase in net assets

Total increase (decrease) in net assets

Net assets at beginning of period

7 unchanged sentences

(in thousands)

Six months ended

June 30, 2022

June 30, 2021

Nine months ended

September 30, 2022

September 30, 2021

Cash Flows from Operating Activities:

22 unchanged sentences

Deferred financing costs/market discount

Net Cash Provided by Operating Activities

Net Cash Provided by (Used in) Operating Activities

Cash Flows from Financing Activities:

4 unchanged sentences

Repayment of secured borrowings

Net Cash Used in Financing Activities

NET INCREASE IN CASH AND CASH EQUIVALENTS

Net Cash Provided by (Used in) Financing Activities

NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS

CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD

8 unchanged sentences

CONSOLIDATED SCHEDULE OF INVESTMENTS (unaudited)

June 30, 2022

(in thousands, except share/unit amounts)

September 30, 202 2

(in thousands, except share/unit amount s

Senior Secured Loans — 134.4 %

10 unchanged sentences

Internet & Catalog Retail

Apex Services Partners, LLC(16)

Diversified Consumer Services

Atria Wealth Solutions, Inc.

4 unchanged sentences

Health Care Providers & Services

BDG Media, Inc.

CC SAG Holdings Corp.

3 unchanged sentences

Building Products

DISA Holdings Acquisition Subsidiary Corp.(18)

Professional Services

Copper River Seafoods, Inc.

Food Products

Enhanced Permanent Capital, LLC(3)

25 unchanged sentences

Communications Equipment

Luxury Asset Capital, LLC

Thrifts & Mortgage Finance

Maurices, Incorporated(16)

1 unchanged sentence

MMIT Holdings, LLC

Montefiore Nyack Hospital

Health Care Providers & Services

NAC Holdings Corporation (Jaguar)(16)

5 unchanged sentences

Commercial Services & Supplies

Orthopedic Care Partners Management, LLC

Health Care Providers & Services

Pediatric Home Respiratory Services, LLC

Health Care Providers & Services

Foy & Associates Insurance Services, LLC

15 unchanged sentences

Health Care Providers & Services

Stryten Energy LLC

SPAR Marketing Force, Inc.

Stryten Resources LLC

Auto Parts & Equipment

18 unchanged sentences

Second Lien Bank Debt/Senior Secured Loans

PhyMed Management LLC**

Health Care Providers & Services

Rug Doctor LLC** (2)

RD Holdco, Inc.** (2)

Diversified Consumer Services

Total Second Lien Bank Debt/Senior Secured Loans

See notes to consolidated financial statements.

SLR INVESTMENT CORP.

CONSOLIDATED SCHEDULE OF INVESTMENTS (unaudited) (continued)

September 30, 2022

(in thousands, except share/unit amount s

Senior Secured Loans (continued) —

First Lien Life Science Senior Secured Loans

25 unchanged sentences

Pharmaceuticals

Spectrum Pharmaceuticals, Inc.(16)

Biotechnology

Vapotherm, Inc.

2 unchanged sentences

Total Senior Secured Loans

See notes to consolidated financial statements.

SLR INVESTMENT CORP.

CONSOLIDATED SCHEDULE OF INVESTMENTS (unaudited) (continued)

June 30, 2022

(in thousands, except share/unit amounts)

Equipment Financing — 23.7 %

2 unchanged sentences

8.47 - 9.64 %

3/1/2025 - 12/1/2026

AFG Dallas III, LLC (10)

Diversified Consumer Services

8/11/2026 - 8/26/2026

Air Methods Corporation (10)

7.08 - 7.13 %

11/3/2026 - 11/23/2026

AmeraMex International, Inc.

5 unchanged sentences

9.06 - 10.44 %

7/1/2024 - 1/1/2026

Bowman Energy Solutions, LLC (10)

Commercial Services & Supplies

Capital City Jet Center, Inc.

1 unchanged sentence

Champion Air, LLC (10)

CKD Holdings, Inc.

8.10 - 8.60 %

6/22/26 - 9/22/27

Clubcorp Holdings, Inc.

1 unchanged sentence

9.36 - 13.01 %

4/1/2025 - 10/1/2027

Dongwon Autopart Technology Inc.

2 unchanged sentences

Containers & Packaging

Energy Drilling Services, LLC (10)

Diversified Consumer Services

Environmental Protection & Improvement Company, LLC (10)

1 unchanged sentence

Multi-Sector Holdings

8/1/2022 - 4/27/2025

First American Commercial Bancorp, Inc.

1 unchanged sentence

7.50 - 9.02 %

11/1/2026 - 4/1/2027

First National Capital, LLC (10)

5 unchanged sentences

8.30 - 8.77 %

6/5/2023 - 10/5/2023

Georgia Jet, Inc.

GMT Corporation (10)

Haljoe Coaches USA, LLC (10)

Hawkeye Contracting Company, LLC (10)

3 unchanged sentences

9.69 - 9.94 %

5/1/2024 - 9/1/2025

International Automotive Components Group, North America, Inc.

4 unchanged sentences

8.73 - 11.52 %

5/16/24 - 9/25/24

Lux Credit Consultants, LLC (10)

8.28 - 11.12 %

12/1/2024 - 10/1/2026

Lux Vending, LLC (10)

7 unchanged sentences

9.33 - 9.79 %

Rossco Crane & Rigging, Inc.

Commercial Services & Supplies

4/1/2023 - 11/1/2024

Royal Coach Lines, Inc.(10)

6 unchanged sentences

Commercial Services & Supplies

7.82 - 7.95 %

9/15/2026 - 7/1/2029

ST Coaches, LLC (10)

8.22 - 8.58 %

10/1/2022 - 1/25/2025

Star Coaches Inc.

3 unchanged sentences

Commercial Services & Supplies

TMT Barges, LLC(10)

Oil, Gas & Consumable Fuels

Trinity Equipment Rentals, Inc.

1 unchanged sentence

7.94 - 8.75 %

Trolleys, Inc.

11/1/2024 - 12/1/2026

Up Trucking Services, LLC (10)

5 unchanged sentences

8.43 - 10.00 %

8/1/2024 - 10/5/25

Womble Company, Inc.

Energy Equipment & Services

Worldwide Flight Services, Inc.

Transportation Infrastructure

SLR Equipment Finance Equity Interests (2)(9)(17)*

8 unchanged sentences

CONSOLIDATED SCHEDULE OF INVESTMENTS (unaudited) (continued)

June 30, 2022

September 30, 202 2

(in thousands, except share/unit amounts)

31 unchanged sentences

Diversified Financial Services

Spectrum Pharmaceuticals, Inc.

Biotechnology

TwentyEighty Investors, LLC*

13 unchanged sentences

Floating rate debt investments typically bear interest at a rate determined by reference to the London Interbank Offered Rate (“LIBOR” or “L”), the Secured Overnight Financing Rate (“SOFR” or “S”) or the prime index rate (“PRIME” or “P”), and which typically reset monthly, quarterly or semi-annually.

For each debt investment we have provided the current rate of interest, or in the case of leases the current implied yield, in effect as of June 30, 2022.

For each debt investment we have provided the current rate of interest, or in the case of leases the current implied yield, in effect as of September 30, 2022.

Denotes investments in which we are deemed to exercise a controlling influence over the management or policies of a company, as defined in the Investment Company Act of 1940, as amended (“1940 Act”), due to beneficially owning, either directly or through one or more controlled companies, more than 25 % of the outstanding voting securities of the investment.

Transactions during the six months ended June 30, 2022 in these controlled investments are as follows:

Transactions during the nine months ended September 30, 2022 in these controlled investments are as follows:

Name of Issuer

3 unchanged sentences

Fair Value at

June 30, 2022

September 30, 2022

Equipment Operating Leases, LLC

8 unchanged sentences

(Rug Doctor, warrants)

Rug Doctor LLC

SLR Business Credit

RD Holdco, Inc.

SLR Business Credi t

SLR Credit Solutions

5 unchanged sentences

CONSOLIDATED SCHEDULE OF INVESTMENTS (unaudited) (continued)

June 30, 2022

September 30, 2022

(in thousands)

2 unchanged sentences

investments in existing portfolio companies or could be required to dispose of investments at inappropriate times in order to comply with the 1940 Act.

As of June 30, 2022, on a fair value basis, non-qualifying

As of September 30, 2022, on a fair value basis, non-qualifying

assets in the portfolio represented 22.7 % of the total assets of the Company.

1 unchanged sentence

Kingsbridge Holdings, LLC is held through KBH Topco LLC, a Delaware corporation.

Aggregate net unrealized depreciation for U.S.

Aggregate net unrealized appreciation for U.S.

federal income tax purposes is $ 13,274 ;

20 unchanged sentences

Spread is 5.50 % Cash / 0.50 % PIK.

Spread is 2.50 % Cash / 12.50 % PIK.

Spread is 5.50 % Cash / 0.50 % PIK.

Indicates an investment that is wholly or partially held by the Company through its wholly-owned financing subsidiary SUNS SPV LLC (the “SUNS SPV”).

10 unchanged sentences

CONSOLIDATED SCHEDULE OF INVESTMENTS (unaudited) (continued)

June 30, 2022

September 30, 2022

(in thousands)

2 unchanged sentences

Investments (at fair value) as

of June 30, 2022

of September 30, 2022

Diversified Financial Services (includes SLR Credit Solutions, SLR Business Credit and SLR Healthcare ABL)

Multi-Sector Holdings (includes Kingsbridge Holdings, LLC, SLR Equipment Finance, Equipment Operating Leases, LLC and Loyer Capital LLC)

Health Care Providers & Service s

Pharmaceuticals

Health Care Providers & Services

Health Care Equipment & Supplies

Biotechnology

Diversified Consumer Services

Wireless Telecommunication Services

Biotechnolog y

Personal Products

Diversified Consumer Services

Capital Markets

Thrifts & Mortgage Finance

Life Sciences Tools & Services

Auto Parts & Equipment

1 unchanged sentence

Internet & Catalog Retail

Life Sciences Tools & Services

Building Products

Commercial Services & Supplie s

Internet Software & Services

Trading Companies & Distributors

Communications Equipment

Leisure Equipment & Products

Commercial Services & Supplies

Health Care Technology

Communications Equipment

Specialty Retail

Leisure Equipment & Products

Food Products

Auto Components

Oil, Gas & Consumable Fuels

Professional Services

Hotels, Restaurants & Leisure

Metals & Mining

Aerospace & Defense

Hotels, Restaurants & Leisure .

Consumer Finance

2 unchanged sentences

Energy Equipment & Services

Containers & Packagin g

Oil, Gas & Consumable Fuels

Containers & Packaging

Transportation Infrastructure

Professional Services

Total Investments

77 unchanged sentences

Pharamceuticals

Ardelyx, Inc.

Pharmaceuticals

29 unchanged sentences

(in thousands, except share/unit amounts)

Interest Rate (1)

Equipment Financing — 32.5 %

173 unchanged sentences

December 31, 2020

Interest/Dividend

Fair Value at

94 unchanged sentences

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)

June 30, 2022

September 30, 2022

(in thousands, except share amounts)

41 unchanged sentences

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

June 30, 2022

September 30, 2022

(in thousands, except share amounts)

2 unchanged sentences

Under procedures established by the board of directors (the “Board”), we value investments, including certain senior secured debt, subordinated debt and other debt securities with maturities greater than 60 days, for which market quotations are readily available, at such market quotations (unless they are deemed not to represent fair value).

A market quotation is readily available for a security only when that quotation is a quoted price (unadjusted) in active markets for identical investments that the Company can access at the measurement date, provided that a quotation will not be readily available if it is not reliable.

If the Company anticipates using a market quotation for a security, it will also monitor for circumstances that may necessitate the use of fair value, such as significant events that may cause concern over the reliability of a market quotation].

We attempt to obtain market quotations from at least two brokers or dealers (if available, otherwise from a principal market maker or a primary market dealer or other independent pricing service).

3 unchanged sentences

Accordingly, such investments go through our multi-step valuation process as described below.

In each such case, independent valuation firms consider observable market inputs together with significant unobservable inputs in arriving at their valuation recommendations.

In each such case, independent valuation firms, that may from time to time be engaged by the Board, consider observable market inputs together with significant unobservable inputs in arriving at their valuation recommendations.

Debt investments with maturities of 60 days or less shall each be valued at cost plus accreted discount, or minus amortized premium, which is expected to approximate fair value, unless such valuation, in the judgment of the Investment Adviser, does not represent fair value, in which case such investments shall be valued at fair value as determined in good faith by or under the direction of the Board.

7 unchanged sentences

the Board discusses valuations and determines the fair value of each investment in our portfolio in good faith based on the input of the Investment Adviser, the respective independent valuation firm, if any, and the audit committee.

SLR INVESTMENT CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

September 30, 2022

(in thousands, except share amounts)

Investments in all asset classes are valued utilizing a market approach, an income approach, or both approaches, as appropriate.

7 unchanged sentences

When available, broker quotations and/or quotations provided by pricing services are considered as an input in the valuation process.

For the six months ended June 30, 2022, there has been no change to the Company’s valuation approaches or techniques and the nature of the related inputs considered in the valuation process.

SLR INVESTMENT CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

June 30, 2022

(in thousands, except share amounts)

For the nine months ended September 30, 2022, there has been no change to the Company’s valuation approaches or techniques and the nature of the related inputs considered in the valuation process.

ASC Topic 820 classifies the inputs used to measure these fair values into the following hierarchy:

25 unchanged sentences

In addition, the Company may also consolidate any controlled operating companies substantially all of whose business consists of providing services to the Company.

SLR INVESTMENT CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

September 30, 2022

(in thousands, except share amounts)

The accounting records of the Company are maintained in U.S.

13 unchanged sentences

The straight-line method may be used on revolving facilities and/or when it approximates the effective yield method.

SLR INVESTMENT CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

June 30, 2022

(in thousands, except share amounts)

The Company may enter into forward exchange contracts in order to hedge against foreign currency risk.

21 unchanged sentences

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

June 30, 2022

September 30, 2022

(in thousands, except share amounts)

30 unchanged sentences

For financial statement purposes, the second part of the performance-based incentive fee is accrued based upon 20 % of cumulative net realized gains and net unrealized capital appreciation.

No accrual was required for the three and six months ended June 30, 2022 and 2021.

For the three and six months ended June 30, 2022, the Company recognized $ 6,913 and $ 14,129 , respectively, in base management fees and $ 4,734 and $ 4,734 , respectively, in gross performance-based incentive fees.

For the three and six months ended June 30, 2022, $ 1,358 and $ 1,358 of such performance-based incentive fees were waived.

For the three and six months ended June 30, 2021, the Company recognized $ 6,890 and $ 13,700 , respectively, in base management fees and $ 3,879 and $ 7,746 , respectively, in performance-based incentive fees.

No accrual was required for the three and nine months ended September 30, 2022 and 2021.

For the three and nine months ended September 30, 2022, the Company recognized $ 7,890 and $ 22,019 , respectively, in base management fees and $ 4,965 and $ 9,699 , respectively, in gross performance-based incentive fees.

For the three and nine months ended September 30, 2022, $ 194 and $ 1,552 of such performance-based incentive fees were waived.

For the three and nine months ended September 30, 2021, the Company recognized $ 7,142 and $ 20,842 , respectively, in base management fees and $ 698 and $ 8,444 , respectively, in performance-based incentive fees.

The Investment Adviser has agreed to waive incentive fees resulting from income earned due to the accretion of purchase discount allocated to investments acquired as a result of the Merger.

4 unchanged sentences

The Company typically reimburses the Administrator on a quarterly basis.

For the three and six months ended June 30, 2022, the Company recognized expenses under the Administration Agreement of $ 1,369 and $ 2,552 respectively.

For the three and six months ended June 30, 2021, the Company recognized expenses under the Administration Agreement of $ 1,375 and $ 2,735 respectively.

No managerial assistance fees were accrued or collected for the three and six months ended June 30, 2022 and 2021.

For the three and nine months ended September 30, 2022, the Company recognized expenses under the Administration Agreement of $ 1,132 and $ 3,684 respectively.

For the three and nine months ended September 30, 2021, the Company recognized expenses under the Administration Agreement of $ 1,435 and $ 4,170 respectively.

No managerial assistance fees were accrued or collected for the three and nine months ended September 30, 2022 and 2021.

SLR INVESTMENT CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

June 30, 2022

September 30, 2022

(in thousands, except share amounts)

Net Asset Value Per Share

At June 30, 2022, the Company’s total net assets and net asset value per share were $ 1,015,153 and $ 18.53 , respectively.

At September 30, 2022, the Company’s total net assets and net asset value per share were $ 1,006,225 and $ 18.37 , respectively.

This compares to total net assets and net asset value per share at December 31, 2021 of $ 842,281 and $ 19.93 , respectively.

1 unchanged sentence

The following table sets forth the computation of basic and diluted net increase in net assets per share resulting from operations, pursuant to ASC 260-10,

for the three and six months ended June 30, 2022 and 2021:

Three months ended June 30,

Six months ended June 30,

for the three and nine months ended September 30, 2022 and 2021:

Three months ended September 30,

Nine months ended September 30,

Earnings (loss) per share (basic & diluted)

25 unchanged sentences

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

June 30, 2022

September 30, 2022

(in thousands, except share amounts)

The following tables present the balances of assets and liabilities measured at fair value on a recurring basis, as of June 30, 2022 and December 31, 2021:

The following tables present the balances of assets and liabilities measured at fair value on a recurring basis, as of September 30, 2022 and December 31, 2021:

Fair Value Measurements

As of June 30, 2022

As of September 30, 2022

Senior Secured Loans

13 unchanged sentences

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

June 30, 2022

September 30, 2022

(in thousands, except share amounts)

The following tables provide a summary of the changes in fair value of Level 3 assets and liabilities for the three and six months ended June 30, 2022, as well as the portion of gains or losses included in income attributable to unrealized gains or losses related to those assets and liabilities still held at June 30, 2022:

The following tables provide a summary of the changes in fair value of Level 3 assets and liabilities for the three and nine months ended September 30, 2022, as well as the portion of gains or losses included in income attributable to unrealized gains or losses related to those assets and liabilities still held at September 30, 2022:

Fair Value Measurements Using Level 3 Inputs

2 unchanged sentences

Common Equity/

Fair value, March

Fair value, June

Total gains or losses included in earnings:

Net realized gain (loss)

Net change in unrealized loss

Net realized loss

Net change in unrealized gain (loss)

Purchase of investment securities

1 unchanged sentence

Transfers in/out of Level 3

Fair value, June

Unrealized losses for the period relating to those Level 3 assets that were still held by the Company at the end of the period:

Net change in unrealized loss

Fair value, September

Unrealized gains (losses) for the period relating to those Level 3 assets that were still held by the Company at the end of the period:

Net change in unrealized gain (loss)

Senior Secured

3 unchanged sentences

Total gains or losses included in earnings:

Net realized gain (loss)

Net realized loss

Net change in unrealized loss

2 unchanged sentences

Transfers in/out of Level 3

Fair value, June

Fair value, September

Unrealized losses for the period relating to those Level 3 assets that were still held by the Company at the end of the period:

1 unchanged sentence

Includes positions acquired from SUNS as a result of the Merger.

The following table shows a reconciliation of the beginning and ending balances for fair valued liabilities measured using significant unobservable inputs (Level 3) for the three and six months ended June 30, 2022:

SLR INVESTMENT CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

September 30, 2022

(in thousands, except share amounts)

2022 Unsecured Notes

For the three months ended

June 30, 2022

September 30, 2022

Beginning fair value

3 unchanged sentences

Ending fair value

SLR INVESTMENT CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

June 30, 2022

(in thousands, except share amounts)

2022 Unsecured Notes

For the six months ended

June 30, 2022

For the nine months ended

September 30, 2022

Beginning fair value

25 unchanged sentences

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

June 30, 2022

September 30, 2022

(in thousands, except share amounts)

18 unchanged sentences

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

June 30, 2022

September 30, 2022

(in thousands, except share amounts)

Quantitative information about the Company’s Level 3 asset and liability fair value measurements as of June 30, 2022 is summarized in the table below:

Quantitative information about the Company’s Level 3 asset and liability fair value measurements as of September 30, 2022 is summarized in the table below:

Fair Value at

June 30, 2022

September 30, 2022

Principal Valuation

2 unchanged sentences

Range (Weighted

Secured Loans

Senior Secured Loans

1,320,263 32,240

Income Approach

Market Multiple (1)

Comparable Multiple

5.3 % – 30.3 % ( 8.8 %) 1.8 x

( 5.6 x)/ 1.8

Income Approach Market Multiple (1)

Market Yield Comparable Multiple

7.6 % – 17.8 % ( 10.9 %)

0.1 x- 21.4 x( 12.0 x)

1 unchanged sentence

117,733 120,820

Income Approach

Market Approach

Return on Equity

Income Approach Market Multiple (2)

Market Yield Comparable Multiple

8.5 % – 9.7 % ( 9.7 %)

1.0 x- 1.28 x

Preferred Equity

5 unchanged sentences

Market Approach

Comparable Multiple

Return on Equity

Comparable Multiple Return on Equity

7.0 x – 9.3 x ( 8.1 x)

6.3 % – 37.7 % ( 9.7 %)

Investments are valued using a sum-of-the

parts analysis, using expected EBITDA multiples (1.8x-8.0x)

for certain segments of the business and expected revenue multiples (1.8x-2.8x)

for certain segments of the business.

parts analysis, using expected revenue multiples for certain segments of the businesses and expected EBITDA multiples for certain segments of the businesses.

Includes $ 120,820 of investments valued using a transaction multiple.

Includes $ 624 of investments valued using a Black-Scholes model and $ 147,005 of investments valued using an EBITDA multiple.

9 unchanged sentences

Income Approach Market Multiple (1)

Market Yield Comparable

Market Yield Comparable Multiple

4.0 % – 19.6 % ( 8.7 %)

2.0 x- 3.0 x( 2.5 x)/ 2.0 x- 3.0 x( 2.5 x)

2 unchanged sentences

Income Approach Market Approach

Market Yield Return on

Market Yield Return on Equity

7.1 % – 20.3 % ( 9.8 %)

4 unchanged sentences

151,615 298,766

Market Multiple (2)

Market Approach

Multiple Return on

Comparable Multiple Return on Equity

5.8 x – 10.5 x ( 9.5 x)

6.1 % – 18.5 % ( 8.6 %)

2022 Unsecured Notes

11 unchanged sentences

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

June 30, 2022

September 30, 2022

(in thousands, except share amounts)

Our debt obligations consisted of the following as of June 30, 2022 and December 31, 2021:

June 30, 2022

Our debt obligations consisted of the following as of September 30, 2022 and December 31, 2021:

September 30, 2022

December 31, 2021

11 unchanged sentences

2027 Series F Unsecured Notes

Carrying Value equals the Face Amount net of unamortized debt issuance costs of $ 5,424 and $ 4,485 as of June 30, 2022 and December 31, 2021, respectively.

Carrying Value equals the Face Amount net of unamortized market

discount of $ 1,030 as of June 30, 2022.

Carrying Value equals the Face Amount net of unamortized debt issuance costs of $ 18 and $ 36 as of June 30, 2022 and December 31, 2021, respectively.

Carrying Value equals the Face Amount net of unamortized debt issuance costs of $ 217 and $ 408 as of June 30, 2022 and December 31, 2021, respectively.

Carrying Value equals the Face Amount net of unamortized debt issuance costs of $ 721 and $ 857 as of June 30, 2022 and December 31, 2021, respectively.

Carrying Value equals the Face Amount net of unamortized market

discount of $ 469 as of June 30, 2022.

Carrying Value equals the Face Amount net of unamortized debt issuance costs of $ 560 and $ 616 as of June 30, 2022 and December 31, 2021, respectively.

Carrying Value equals the Face Amount net of unamortized debt issuance costs of $ 53 and $ 60 as of June 30, 2022 and December 31, 2021, respectively.

Carrying Value equals the Face Amount net of unamortized debt issuance costs of $ 27 as of June 30, 2022.

Carrying Value equals the Face Amount net of unamortized debt issuance costs of $ 5,132 and $ 4,485 as of September 30, 2022 and December 31, 2021, respectively.

Carrying Value equals the Face Amount net of unamortized market discount of $ 964 as of September 30, 2022.

Carrying Value equals the Face Amount net of unamortized debt issuance costs of $ 9 and $ 36 as of September 30, 2022 and December 31, 2021, respectively.

Carrying Value equals the Face Amount net of unamortized debt issuance costs of $ 119 and $ 408 as of September 30, 2022 and December 31, 2021, respectively.

Carrying Value equals the Face Amount net of unamortized debt issuance costs of $ 650 and $ 857 as of September 30, 2022 and December 31, 2021, respectively.

Carrying Value equals the Face Amount net of unamortized market discount of $ 428 as of September 30, 2022.

Carrying Value equals the Face Amount net of unamortized debt issuance costs of $ 532 and $ 616 as of September 30, 2022 and December 31, 2021, respectively.

Carrying Value equals the Face Amount net of unamortized debt issuance costs of $ 50 and $ 60 as of September 30, 2022 and December 31, 2021, respectively.

Carrying Value equals the Face Amount net of unamortized debt issuance costs of $ 25 as of September 30, 2022.

Unsecured Notes

11 unchanged sentences

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

June 30, 2022

September 30, 2022

(in thousands, except share amounts)

28 unchanged sentences

The SPV Credit Facility also includes usual and customary events of default for credit facilities of this nature.

At June 30, 2022, outstanding USD equivalent borrowings under the SPV Credit Facility totaled $ 128,600 .

At September 30, 2022, outstanding USD equivalent borrowings under the SPV Credit Facility totaled $ 130,200 .

On December 28, 2021, the Company closed on Amendment No.

7 unchanged sentences

In addition, the Credit Facility contains certain financial covenants that among other things, requires the Company to maintain a minimum shareholder’s equity and a minimum asset coverage ratio.

At June 30, 2022, outstanding USD equivalent borrowings under the Credit Facility totaled $ 312,000 , composed of $ 212,000 of revolving credit and $ 100,000 of term loans.

At September 30, 2022, outstanding USD equivalent borrowings under the Credit Facility totaled $ 460,000 , composed of $ 360,000 of revolving credit and $ 100,000 of term loans.

Certain covenants on our issued debt may restrict our business activities, including limitations that could hinder our ability to finance additional loans and investments or to make the distributions required to maintain our status as a RIC under Subchapter M of the Code.

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

June 30, 2022

September 30, 2022

(in thousands, except share amounts)

The average annualized interest cost for all borrowings for the six months ended June 30, 2022 and the year ended December 31, 2021 was 3.64 % and 3.64 %, respectively.

The average annualized interest cost for all borrowings for the nine months ended September 30, 2022 and the year ended December 31, 2021 was 3.81 % and 3.64 %, respectively.

These costs are exclusive of other credit facility expenses such as unused fees, agency fees and other prepaid expenses related to establishing and/or amending the Credit Facility, the SPV Credit Facility, the 2022 Unsecured Notes, the 2022 Tranche C Notes, the 2023 Unsecured Notes, the 2024 Unsecured Notes, the 2025 Unsecured Notes, the 2026 Unsecured Notes, the 2027 Unsecured Notes and the 2027 Series F Unsecured Notes (collectively the “Debt Instruments”), if any.

The maximum amounts borrowed on the Debt Instruments during the six months ended June 30, 2022 and the year ended December 31, 2021 were $ 1,079,700 and $ 902,550 , respectively.

The maximum amounts borrowed on the Debt Instruments during the nine months ended September 30, 2022 and the year ended December 31, 2021 were $ 1,157,100 and $ 902,550 , respectively.

Financial Highlights

The following is a schedule of financial highlights for the six months ended June 30, 2022 and 2021:

Six months ended

June 30, 2022

Six months ended

June 30, 2021

The following is a schedule of financial highlights for the nine months ended September 30, 2022 and 2021:

Nine months ended

September 30, 2022

Nine months ended

September 30, 2021

Per Share Data:

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From net investment income

From return of capital

Net asset value, end of period

17 unchanged sentences

The ratio of operating expenses to average net assets and the ratio of total expenses to average net assets is shown net of a permanent incentive fee waiver (see note 3).

For the six months ended June 30, 2022, the ratios of operating expenses to average net assets and total expenses to average net assets would be 2.58 % and 4.53 %, respectively, without the incentive fee waiver.

For the nine months ended September 30, 2022, the ratios of operating expenses to average net assets and total expenses to average net assets would be 4.06 % and 7.28 %, respectively, without the incentive fee waiver.

SLR INVESTMENT CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

June 30, 2022

September 30, 2022

(in thousands, except share amounts)

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On September 30, 2016, Crystal Capital Financial Holdings LLC was dissolved.

As of June 30, 2022, total commitments to the revolving credit facility are $ 250,000 .

As of June 30, 2022 SLR Credit had 25 funded commitments to 20 different issuers with total funded loans of approximately $ 326,706 on total assets of $ 357,121 .

As of September 30, 2022, total commitments to the revolving credit facility are $ 250,000 .

As of September 30, 2022 SLR Credit had 27 funded commitments to 21 different issuers with total funded loans of approximately $ 354,853 on total assets of $ 375,603 .

As of December 31, 2021 SLR Credit had 22 funded commitments to 19 different issuers with total funded loans of approximately $ 287,375 on total assets of $ 347,821 .

As of June 30, 2022 and December 31, 2021, the largest loan outstanding totaled $ 34,560 and $ 35,000 , respectively.

As of September 30, 2022 and December 31, 2021, the largest loan outstanding totaled $ 34,178 and $ 35,000 , respectively.

For the same periods, the average exposure per issuer was $ 16,898 and $ 15,125 , respectively.

SLR Credit’s credit facility, which is non-recourse

to the Company, had approximately $ 125,595 and $ 100,742 of borrowings outstanding at June 30, 2022 and December 31, 2021, respectively.

For the three months ended June 30, 2022 and 2021, SLR Credit had net income of $ 1,880 and $ 2,111 , respectively, on gross income of $ 6,882 and $ 8,054 , respectively.

For the six months ended June 30, 2022 and 2021, SLR Credit had net income of $ 4,660 and $ 7,052 , respectively, on gross income of $ 13,575 and $ 17,731 , respectively.

to the Company, had approximately $ 139,497 and $ 100,742 of borrowings outstanding at September 30, 2022 and December 31, 2021, respectively.

For the three months ended September 30, 2022 and 2021, SLR Credit had net income of $ 3,897 and $ 5,445 , respectively, on gross income of $ 8,596 and $ 9,508 , respectively.

For the nine months ended September 30, 2022 and 2021, SLR Credit had net income of $ 8,557 and $ 12,497 respectively, on gross income of $ 22,171 and $ 27,239 , respectively.

Due to timing and non-cash

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

June 30, 2022

September 30, 2022

(in thousands, except share amounts)

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The Company had unfunded debt and equity commitments to various revolving and delayed-draw term loans as well as to SLR Credit and SLR Healthcare.

The total amount of these unfunded commitments as of June 30, 2022 and December 31, 2021 is $ 363,887 and $ 226,733 , respectively, comprised of the following:

Arcutis Biotherapeutics, Inc

The total amount of these unfunded commitments as of September 30, 2022 and December 31, 2021 is $ 310,204 and $ 226,733 , respectively, comprised of the following:

SLR Credit Solutions*

World Insurance Associates, LLC

Apeel Technology, Inc.

World Insurance Associates, LLC

CC SAG Holdings Corp.

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Human Interest, Inc.

Atria Wealth Solutions, Inc

RSC Acquisition, Inc

Spectrum Pharmaceuticals, Inc.

BridgeBio Pharma, Inc.

Vapotherm, Inc

Foy & Associates Insurance Services, LLC

Inszone Mid, LLC

Maurices, Incorporated

Ivy Fertility Services, LLC

Vessco Midco Holdings, LLC

NAC Holdings Corporation

BDG Media, Inc.

RSC Acquisition, Inc.

Arcutis Biotherapeutics, Inc.

Atria Wealth Solutions, Inc.

Ardelyx, Inc.

Luxury Asset Capital, LLC

OIS Management Services, LLC

Vessco Midco Holdings, LLC

One Touch Direct, LLC

Maurices, Incorporated

Foundation Consumer Brands, LLC

Inszone Mid, LLC

Kid Distro Holdings, LLC

Plastics Management, LLC

Pediatric Home Respiratory Services, LLC

Southern Orthodontic Partners Management, LLC

Kid Distro Holdings, LLC

MMIT Holdings, LLC

Basic Fun, Inc.

Enverus Holdings, Inc

Copper River Seafoods, Inc.

Foy & Associates Insurance Services, LLC

Orthopedic Care Partners Management, LLC

MMIT Holdings, LLC

SPAR Marketing Force, Inc.

Ivy Fertility Services, LLC

NAC Holdings Corporation

SLR Healthcare ABL*

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Erie Construction Mid-west,

Composite Technology Acquisition Corp.

Enverus Holdings, Inc.

SLR Equipment Finance

All State Ag Parts, LLC

American Teleconferencing Services, Ltd.

Ultimate Baked Goods Midco LLC

SunMed Group Holdings, LLC

Composite Technology Acquisition Corp

All State Ag Parts, LLC

Ultimate Baked Goods Midco LLC

BayMark Health Services, Inc.

Pinnacle Treatment Centers, Inc.

GSM Acquisition Corp.

BayMark Health Services, Inc

High Street Buyer, Inc.

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

June 30, 2022

September 30, 2022

(in thousands, except share amounts)

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Since these commitments may expire without being drawn upon, unfunded commitments do not necessarily represent future cash requirements or future earning assets for the Company.

As of June 30, 2022 and December 31, 2021, the Company had sufficient cash available and/or liquid securities available to fund its commitments and had reviewed them for any appropriate fair value adjustment.

As of September 30, 2022 and December 31, 2021, the Company had sufficient cash available and/or liquid securities available to fund its commitments and had reviewed them for any appropriate fair value adjustment.

SLR Equipment Finance

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In September 2019, SLR Equipment amended the facility, increasing commitments to $ 213,957 with an accordion feature to expand up to $ 313,957 and extended the maturity date of the facility to July 31, 2023 .

As of June 30, 2022, SLR Equipment had 130 funded equipment-backed leases and loans to 56 different customers with a total net investment in leases and loans of approximately $ 187,534 on total assets of $ 242,034 .

As of September 30, 2022, SLR Equipment had 129 funded equipment-backed leases and loans to 59 different customers with a total net investment in leases and loans of approximately $ 189,254 on total assets of $ 241,189 .

As of December 31, 2021, SLR Equipment had 135 funded equipment-backed leases and loans to 61 different customers with a total net investment in leases and loans of approximately $ 210,986 on total assets of $ 264,007 .

As of June 30, 2022 and December 31, 2021, the largest position outstanding totaled $ 19,272 and $ 19,207 , respectively.

As of September 30, 2022 and December 31, 2021, the largest position outstanding totaled $ 19,272 and $ 19,207 , respectively.

For the same periods, the average exposure per customer was $ 3,208 and $ 3,459 , respectively.

SLR Equipment’s credit facility, which is non-recourse

to the Company, had approximately $ 102,226 and $ 118,002 of borrowings outstanding at June 30, 2022 and December 31, 2021, respectively.

For the three months ended June 30, 2022 and June 30, 2021, SLR Equipment had net loss of $ 1,753 and $ 1,677 , respectively, on gross income of $ 4,045 and $ 5,740 , respectively.

For the six months ended June 30, 2022 and June 30, 2021, SLR Equipment had net loss of $ 1,159 and $ 1,995 , respectively, on gross income of $ 9,218 and $ 10,634 , respectively.

to the Company, had approximately $ 110,997 and $ 118,002 of borrowings outstanding at September 30, 2022 and December 31, 2021, respectively.

For the three months ended September 30, 2022 and September 30, 2021, SLR Equipment had net income (loss) of $ 1,034 and ($ 306 ), respectively, on gross income of $ 6,486 and $ 5,809 , respectively.

For the nine months ended September 30, 2022 and September 30, 2021, SLR Equipment had net loss of $ 125 and $ 2,301 , respectively, on gross income of $ 15,704 and $ 16,443 , respectively.

Due to timing and non-cash

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

June 30, 2022

September 30, 2022

(in thousands, except share amounts)

Capital Share Transactions

As of June 30, 2022 and June 30, 2021, 200,000,000 shares of $ 0.01 par value capital stock were authorized.

As of September 30, 2022 and September 30, 2021, 200,000,000 shares of $ 0.01 par value capital stock were authorized.

Transactions in capital stock were as follows:

Three months ended

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September 30, 2022

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June 30, 2021

September 30, 2021

Three months ended

June 30, 2022

September 30, 2022

Three months ended

June 30, 2021

September 30, 2021

Shares issued in connection with the Mergers

Six months ended

June 30, 2022

Six months ended

June 30, 2021

Six months ended

June 30, 2022

Six months ended

June 30, 2021

Nine months ended

September 30, 2022

Nine months ended

September 30, 2021

Nine months ended

September 30, 2022

Nine months ended

September 30, 2021

Shares issued in connection with the Mergers

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Following the transaction, the Company owns 87.5 % of KBHT equity and the KBH management team owns the remaining 12.5 % of KBHT’s equity.

As of June 30, 2022 and December 31, 2021, KBHT had total assets of $ 754,804 and $ 738,425 , respectively.

As of September 30, 2022 and December 31, 2021, KBHT had total assets of $ 774,619 and $ 738,425 , respectively.

For the same periods, debt recourse to KBHT totaled $ 246,210 and $ 216,881 , respectively, and non-recourse

1 unchanged sentence

None of the debt is recourse to the Company.

For the three months ended June 30, 2022 and 2021, KBHT had net income of $ 3,657 and $ 2,267 , respectively, on gross income of $ 77,316 and $ 58,146 , respectively.

For the six months ended June 30, 2022 and 2021, KBHT had net income of $ 7,066 and $ 6,045 , respectively, on gross income of $ 143,741 and $ 119,570 , respectively.

For the three months ended September 30, 2022 and 2021, KBHT had net income of $ 3,327 and $ 3,163 , respectively, on gross income of $ 71,332 and $ 60,510 , respectively.

For the nine months ended September 30, 2022 and 2021, KBHT had net income of $ 10,393 and $ 10,314 , respectively, on gross income of $ 215,074 and $ 180,079 , respectively.

Due to timing and non-cash

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in the transaction and continues to lead SLR Healthcare.

As of June 30, 2022, SLR Healthcare’s management team and the Company own approximately 7 % and 93 % of the equity in SLR Healthcare, respectively.

As of September 30, 2022, SLR Healthcare’s management team and the Company own approximately 7 % and 93 % of the equity in SLR Healthcare, respectively.

SLRC acquired SLR Healthcare in connection with the Merger on April 1, 2022.

8 unchanged sentences

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

June 30, 2022

September 30, 2022

(in thousands, except share amounts)

SLR Healthcare currently manages a highly diverse portfolio of directly-originated and underwritten senior-secured commitments.

As of June 30, 2022, the portfolio totaled approximately $ 179,760 of commitments with a total net investment in loans of $ 77,495 on total assets of $ 89,708 .

As of September 30, 2022, the portfolio totaled approximat e

of commitments with a total net investment in loans of $ 81,360 on total assets of $ 93,010 .

As of December 31, 2021, the portfolio totaled approximately $ 183,501 of commitments with a total net investment in loans of $ 81,604 on total assets of $ 91,275 .

At June 30, 2022, the portfolio consisted of 38 issuers with an average balance of approximately $ 2,039 versus 36 issuers with an average balance of approximately $ 2,267 at December 31, 2021.

At September 30, 2022, the portfolio consisted of 37 issuers with an average balance of approximately $ 2,199 versus 36 issuers with an average balance of approximately $ 2,267 at December 31, 2021.

All of the commitments in SLR Healthcare’s portfolio are floating-rate, senior-secured, cash-pay

SLR Healthcare’s credit facility, which is non-recourse

to us, had approximately $ 59,000 and $ 60,000 of borrowings outstanding at June 30, 2022 and December 31, 2021, respectively.

For the three months ended June 30, 2022 and 2021, SLR Healthcare had net income (loss) of $ 847 and ($ 122 ), respectively, on gross income of $ 2,487 and $ 2,018 , respectively.

For the six months ended June 30, 2022 and 2021, SLR Healthcare had net income of $ 1,721 and $ 534 , respectively, on gross income of $ 4,878 and $ 4,404 , respectively.

to us, had approximately $ 62,000 and $ 60,000 of borrowings outstanding at September 30, 2022 and December 31, 2021 , respectively.

For the three months ended September 30, 2022 and 2021, SLR Healthcare had net income (loss) of $ 822 and ($ 40 ), respectively, on gross income of $ 3,020 and $ 2,631 , respectively.

For the nine months ended September 30, 2022 and 2021, SLR Healthcare had net income of $ 2,543 and $ 494 , respectively, on gross income of $ 7,898 and $ 7,035 , respectively.

Due to timing and non-cash

items, there may be material differences between GAAP net income and cash available for distributions.

items, there may

be material differences between GAAP net income and cash available for distributions.

SLR Business Credit

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SLR Business Credit currently manages a highly diverse portfolio of directly-originated and underwritten senior-secured commitments.

As of June 30, 2022, the portfolio totaled approximately $ 566,021 of commitments, of which $ 278,248 were funded, on total assets of $ 318,731 .

As of December 31, 2021, the portfolio totaled approximately $ 513,869 of commitments, of which $ 248,652 were funded, on total assets of $ 290,794 .

At June 30, 2022, the portfolio consisted of 116 issuers with an average balance of approximately $ 2,399 versus 125 issuers with an average balance of approximately $ 1,989 at December 31, 2021.

NMC has a senior credit facility with a bank lending group for $ 240,000 which expires on November 13, 2025 .

September 30, 2022, the portfolio totaled approximately $ 554,171 of commitments, of which $ 295,973 were funded, on total assets of $ 346,278 .

December 31, 2021, the portfolio totaled approximately $ 513,869 of commitments, of which $ 248,652 were funded, on total assets of $ 290,794 .

September 30, 2022, the portfolio consisted of 109 issuers with an average balance of approximately $ 2,715 versus 125 issuers with an average balance

of approximately $ 1,989 at December 31, 2021.

NMC has a senior credit facility with a bank lending group for $ 240,000 which expires on

November 13, 2025 .

Borrowings are secured by substantially all of NMC’s assets.

NMC’s credit facility, which is non-recourse

to us, had approximately $ 210,908 and $ 183,252 of borrowings outstanding at June 30, 2022 and December 31, 2021, respectively.

For the three months ended June 30, 2022 and 2021, SLR Business Credit had net income of $ 1,857 and $ 1,318 , respectively, on gross income of $ 6,626 and $ 5,538 , respectively.

For the six months ended June 30, 2022 and 2021, SLR Business Credit had net income of $ 3,726 and $ 2,160 , respectively, on gross income of $ 12,772 and $ 9,816 , respectively.

approximately $ 237,510 and $ 183,252 of borrowings outstanding at September 30, 2022 and December 31, 2021, respectively.

For the three months

ended September 30, 2022 and 2021, SLR Business Credit had net income of $ 1,977 and $ 2,577 , respectively, on gross income of $ 7,607 and $ 6,857 ,

respectively.

For the nine months ended September 30, 2022 and 2021, SLR Business Credit had net income of $ 5,703 and $ 4,737 , respectively, on

gross income of $ 20,378 and $ 16,674 , respectively.

Due to timing and non-cash

items, there may be material differences between GAAP net income and cash available for distributions.

As such, and subject to fluctuations in SLR Business Credit’s funded commitments, the timing of originations, and the repayments of financings, the Company cannot guarantee that SLR Business Credit will be able to maintain consistent dividend payments to us.

items, there may be material differences between GAAP net income

and cash available for distributions.

As such, and subject to fluctuations in SLR Business Credit’s funded commitments, the timing of originations, and

the repayments of financings, the Company cannot guarantee that SLR Business Credit will be able to maintain consistent dividend payments to us.

SLR INVESTMENT CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

June 30, 2022

September 30, 2022

(in thousands, except share amounts)

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reorganization and the historical cost basis of the acquired SUNS investments are carried forward for tax purposes.

Prior to the Merger, SUNS was also managed by the Investment Adviser.

The following table summarizes the allocation of the purchase price to the assets acquired and liabilities assumed as a result of the Merger:

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

June 30, 2022

September 30, 2022

(in thousands, except share amounts)

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There are no assurances that we will engage in any repurchases.

As of June 30, 2022 no repurchases have taken place.

As of September 30, 2022, no repurchases have taken place.

Subsequent Events

The Company has evaluated the need for disclosures and/or adjustments resulting from subsequent events through the date the consolidated financial statements were issued.

On July 6, 2022, our Board declared a monthly distribution of $ 0.136667 per share payable on August 2, 2022 to holders of record as of July 21, 2022.

On August 2, 2022, our Board declared a monthly distribution of $ 0.136667 per share payable on September 1, 2022 to holders of record as of August 18, 2022.

On October 5, 2022, our Board declared a monthly distribution of $ 0.136667 per share payable on November 2, 2022 to holders of record as of October 20, 2022.

On October 12, 2022, the Company entered into a joint venture agreement with SunStone Senior Credit L.P.

(the “Investor”) to create SLR Senior Lending Program LLC (“SSLP”).

The joint venture is expected to invest primarily in senior secured cash flow loans.

The Company and the Investor each have made initial equity commitments of $ 50,000 , resulting in a total equity commitment of $ 100,000 .

SSLP intends to seek third party financing to allow the joint venture to utilize leverage.

The Company and the Investor expect to begin funding SSLP with investments prior to the end of 2022.

Investment decisions and all material decisions in respect of SSLP must be approved by representatives of the Company and the Investor.

On November 2, 2022, our Board declared a monthly distribution of $ 0.136667 per share payable on December 1, 2022 to holders of record as of November 17, 2022.

Report of Independent Registered Public Accounting Firm

3 unchanged sentences

We have reviewed the consolidated statement of assets and liabilities of SLR Investment Corp.

(and subsidiaries) (the Company), including the consolidated schedule of investments, as of June 30, 2022, the related consolidated statements of operations and changes in net assets, for the three-month and six-month

periods ended June 30, 2022 and 2021, the related consolidated statements of cash flows for the six-month

periods ended June 30, 2022 and 2021, and the related notes (collectively, the consolidated interim financial information).

(and subsidiaries) (the Company), including the consolidated schedule of investments, as of September 30, 2022, the related consolidated statements of operations and changes in net assets, for the three-month and nine-month periods ended September 30, 2022 and 2021, the related consolidated statements of cash flows for the nine-month periods ended September 30, 2022 and 2021, and the related notes (collectively, the consolidated interim financial information).

Based on our reviews, we are not aware of any material modifications that should be made to the consolidated interim financial information for it to be in conformity with U.S.

12 unchanged sentences

New York, New York

August 2, 2022

November 2, 2022

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-Q

Item 1. Financial Statements